Moratorium needed on new petroleum licences

WE call on Minister Pat Rabbitte to issue a moratorium on the granting of new petroleum licences off the west coast of Ireland until after the Oireachtas committee is finished reviewing the State’s existing terms.

We believe that the terms as outlined in the “Licensing terms for offshore oil and gas exploration, development and production 2007” are inadequate and no longer relevant, as per the results of a 2008 study of 45 international fiscal systems by petroleum consultant Daniel Johnston, which shows that Ireland achieves the lowest returns from its gas and oil of all the countries studied.

Ireland’s returns are half of US and Britain and less that one-third of Norway.